6 Oct 2008 08:55
6 October 2008
THE ADVANTAGE PROPERTY INCOME TRUST LIMITED
("TAP" or "The Company")
TAP successfully disposes of five assets and announces debt repayment of £2.2m
TAP, the listed high income UK commercial property investment company, announces the disposal of five of its investment properties for a total of £4.17 million. The disposals, which achieved a value 1.8% above preceding valuations, reflect an aggregate net initial yield of 6.0%.
The disposals included two retail premises, the converted upper parts of another, an office building and an industrial estate. The properties are a shop in Beastfair, Pontefract comprising 11,600 sq ft, let to Peacocks; a 1,200 sq ft shop in Lincoln, let to Lush Retail; the upper parts of a retail investment in Aberdeen, converted into two residential flats; a 1,900 sq ft office premises in Bradford, let to Black & Veatch and, in Stroud a 16,500 sq ft industrial estate let to the local council.
The remaining TAP portfolio remains balanced with a slight bias towards retail, with retail warehousing 20.9%, high street retail 17.7%, office 35.8%, industrial 21.6% and leisure 4.0% continuing to provide good sector diversification.
The net proceeds of the disposals will be applied to the repayment of debt in line with the Company's strategy and TAP is pleased to announce a debt repayment of £2.2 million of capital on the next interest payment date.
Commenting on the transactions, Chris Carter Keall, Fund Manager at Valad Asset Management Limited - the Property Fund Adviser, said: "These disposals are in line with TAP's strategy of exiting small stabilised assets following the completion of value adding asset management initiatives. They illustrate the resilience of the Company's assets, even at a time when market transactions generally have reduced significantly in both value and volume."
For further information:
Chris Carter Keall, VALAD Property Group 020 7659 6666
Graham Swindells, Kaupthing, Singer & Friedlander 020 3205 7500
Jeremy Carey/Simon Hudson/Gemma Bradley, Tavistock Communications Limited 020 7920 3150
Anson Fund Managers Limited, Secretary 01481 722260
Note to Editors:
The Advantage Property Income Trust Ltd ('TAP') is a quoted commercial property company which focuses on providing high levels of income and income growth through investing in a diverse range of commercial properties across the UK and the Channel Islands. It was launched in February 2005 and listed on both The Channel Islands and London Stock Exchanges. The Company is domiciled in Guernsey and is structured in a tax efficient way.
TAP's £234 million* portfolio comprises a well-diversified range of assets including retail, retail warehouse, offices, and industrial and leisure properties. It's assets are geographically spread across the UK and the Channel Islands allbeit with a large concentration in the South East of England.
The Company is run by an independent board of non-executive directors who have significant experience in property, the quoted sector and offshore investment vehicles. Valad has been appointed as the Property Fund Adviser. It advises TAP on investment decisions, provides portfolio accounting and active asset management to the Company through a team of finance and property professionals.
*as at June 2008
END OF ANNOUNCEMENT
E&OE - In transmission